Stock market slide and oil drops confidence

Investor confidence has dropped globally thanks to the unprecedented global stock market slide, according to State Street Global Exchange.

State Street's investor confidence index (ICI) found the global ICI decreased to 108.8 down 1.7 points from December's 110.5.

State Street said the decline was driven by a decrease in the North American ICI from 110.5 to 108.8, the Asian ICI falling 1.5 points to 102.9, and the European ICI falling 0.1 points to 103.4.

State Street Global Exchange's executive vice president and chief innovation officer, Jessica Donohue, said "tumbling oil prices, a reaction to the slowing demand in the face of a supply glut, and changing growth dynamics in China chipped away at investors' confidence over the past month," were reasons for the decline.

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The index's co-developer, Kenneth Froot, also pointed to weak Chinese growth and oil markets for the falls.

"Fears around weakening Chinese growth and the collapse in oil markets have caused institutional investors to believe the additional spending released into the hands of consumers in non-commodity producing countries makes even this steep and sudden downdraft a buying opportunity," he said.

"Perhaps 2016 will be a happy new year after all."